Comparing Hennessy Advisors Inc's Q4 2022 and Q1 2023 Holdings: Changes in Top Investments

Investment management requires astute observations, identifying key opportunities among the unpredictable market trends. For the Hennessy Advisors Inc, their ability to shift their investments put them at an advantageous position amidst stock market uncertainties. In this article, we will be examining how Hennessy Advisors Inc has navigated the stock market by comparing their top holdings in Q4 2022 with Q1 2023.

Kindly note that the following analysis is based on the current SEC 13F filing by Hennessy Advisors Inc. The CSV above presents the resolved changes in the Hennessy Advisors Inc's holdings for Q4 2022 and Q1 2023. A 13F form is a mandatory quarterly submission by institutional investment managers as per the US Securities and Exchange Commission (SEC) regulations. It provides the public an insight into the investment strategies of prominent stakeholders.

In this comparison, we will explore the variations between the two quarters, identifying the changes that have taken place in Hennessy Advisors Inc's top holdings.

Let's dive into it.

Main Body

At a glance, the data suggests that Hennessy Advisors Inc. saw a massive reshuffling of their portfolio in Q1 2023, selling off stocks and buying up others. The firm increased or decreased its shares by over 10% in thirty-six firms over the trading period, with some of these changes amounting to seemingly significant deviations. For instance, Hennessy Advisors Inc sold 372,000 shares, 40% of their portfolio, from Plains All Amern Pipeline L P Unit Ltd Partn, a Tennessee-based oil & gas firm. The sale led to a reduction in their portfolio holding value by $2.6 million, a 9.9% change from the previous quarter.

Similarly, Hennessy Advisors Inc decreased their holdings in several other firms, including Berkshire Hathaway Inc (-$2,043), Dominion Energy Inc. (-$1,703), and Coca Cola Co (-$2,313). These companies experienced a percentage change of -7.5%, -8.1%, and -23.3%, respectively, during the quarterly transition. These sell-offs allowed the portfolio to shift its investment towards other companies that better fit Hennessy Advisor's Inc's investment goals.

In contrast to these divestments, there were holdings that grew significantly for Hennessy Advisors Inc in this quarter, suggesting their bullish outlook on the companies. Super Micro Computer Inc, a San Jose-based computer storage and hardware company investments grew 51.4%, gaining Hennessy Advisors Inc an additional 30,500 shares. Alongside this, Hennessy Advisors Inc grew their investment in other stocks such as Academy Sports & Outdoors Inc (+43.9%), Penske Automotive Grp Inc (+46.9%), Green Plains Inc (+36.7%), and Devon Energy Corp New (+38.7%).

Exxon Mobil Corp was one of the exceptional additions to the Hennessy Advisors Inc's top holdings with a 13.3% growth in investment. The energy firm ranked nineteenth in Q4 2022, but the inflow of shares translated into a rank improvement to eleventh in Q1 2023. As well as Exxon Mobil Corp, Energy Transfer L P (-31.1%) and Plains GP Holdings LP (+3.9%) also experienced an increase in shares over this trading period.

Conclusion

The current 13F filings indicate that Hennessy Advisors Inc is making moves that positively align with their overall investment goals. The firm's portfolio saw significant investment in companies they believe to be profitable, while trading away from holdings that they deemed no longer beneficial. Exxon Mobil Corp is a firm that is receiving significant attention from investors, and Hennessy Advisors Inc was no exception. The firm ranked among top holdings in Q1 2023, and this bullish outlook on the firm is likely to continue. We cannot fail to mention that the fund reduced its holdings in existing companies such as Berkshire Hathaway, Dominion Energy, and Coca Cola, among others. These funds could have been channeled into the new holdings or other strategies.

In conclusion, it is evident that investing is not a science but an art that requires strategic decisions based on market trends. Hennessy Advisors Inc's decision to buy, hold and sell different stocks show a level of expertise that is essential when managing investor funds.